Samsung to Slow Down Manufacturing in China, Now Focuses on India and Vietnam

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A revelation has come up concerning the South Korean electronics manufacturing giant Samsung. The company has reportedly announced that it would cut manufacturing in China and would shift focus to other countries like India and Vietnam. As per this new report Samsung has taken this step to deal with the declining profits in the country. To recall, Samsung had been manufacturing in China at the Tianjin Samsung Telecommunications Co (TSTC).


The South Korean tech giant in July inaugurated a new 35-acre facility in India which is touted as the world’s biggest mobile manufacturing plant. Samsung which is currently making 67 million smartphones in India. And with the new plant being functional, it is expected to manufacture nearly 120 million mobile phones.

The company is also strengthening its production lines in Vietnam and India, targeting rising demand in these fast-growing markets as well as making them production bases for exports to the global market.

“Samsung Electronics is cutting its smartphone production in China to cope with falling sales in the country, showing how the South Korean tech giant is struggling to rebound in the world’s largest smartphone market,” Nikkei Asian Review reported late on Monday.

Analysts believe the company should do more in China to woo consumers reports IANS.

“I do think that Samsung needs to pay more attention to China. China is a big market, and I think that a more focused approach to China will help manage its expectations,” Carolina Milanesi, an analyst at Creative Strategies, a US-based market research firm, was quoted as saying by Nikkei Asian Review.

Samsung also runs a smartphone production line in Vietnam, exporting most of those smartphones to Europe and other key markets.

Samsung’s growth saga in India

The top two smartphone brands in India- Xiaomi and Samsung, each said to be shipped 9.9 million smartphones in Q2 2018. According to the shipment tracking firm, Canalys the two companies now account for 60% of total shipments in India, up from 43% a year ago. Both the brands now has 30% market share in the country.

Samsung’s upcoming phone launch in India

Samsung will be launching its much awaited Galaxy Note 9 in India on August 22.  The Galaxy Note 9 comes with a mammoth 1TB memory, a bigger 4000mAh battery and a Bluetooth-equipped S Pen. The device that runs OS Android 8.1 Oreo has the latest Qualcomm Snapdragon 845 system-on-chip (SoC) for the US customers and the models powered by Samsung’s very own “Exynos 9 Series 9810” chips will come to India.

The device sports a dual camera system (12MP+12MP) with dual optical image stabilisation (OIS) at the rear — with 2 times more powerful optical zoom and up to 10 times powerful digital zoom and an 8MP front shooter.

Reported By

Junior Editor

Arpit spends his day closely following the telecom and tech industry. A music connoisseur and a night owl, he also takes a deep interest in the Indian technology start-up scene and spends rest of his time spilling poetry and stories on paper.

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